Oil prices fell on Friday but are set for a weekly gain, caught between expectations of lower demand as the end of summer nears in the United States, the world’s biggest consumer, and uncertainty about the availability of Russian supply.
Brent crude futures for October delivery, which will expire on Friday, fell 53 cents, or 0.8%, at $68.09 at 0251 GMT, while the more active contract for November slid 48 cents, or 0.7%, to $67.50. West Texas Intermediate (WTI) crude futures were down 51 cents, or 0.8%, at $64.09.
Brent is set for a weekly gain of 0.6%, while WTI is set to climb by 0.8%.
Prices gained due to Ukrainian attacks on Russian oil export terminals earlier this week and after German Chancellor Friedrich Merz said on Thursday there will be no meeting between Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskiy.
However, the end of the U.S. summer driving demand period with the Labor Day holiday on Monday and more supply from major producers becoming available with the end of voluntary output cuts have weighed on prices.
"We expect rising OPEC+ supply and a seasonal fall in global refining activity from September will result in a pick-up in global oil stockpiles in coming months. We forecast Brent oil futures falling to $63/bbl in Q4 2025," Commonwealth Bank of Australia commodities analyst Vivek Dhar said in a note.
Russian attacks on the Ukrainian capital Kyiv early on Thursday that killed 23 people have raised concerns the U.S. may respond with tighter sanctions.
Source : Investing.com